ST AGENDA ITEM #1: Call to Order

ST AGENDA ITEM #2: Approve:  Minutes from the Spencer Trust meeting held on June 2, 2025.

ST AGENDA ITEM #3: Discuss and Act:  FY2026 Spencer Trust Budget

TM Comment: The Trustees at the June meeting approved an FY2026 Spencer Trust Budget totaling $436,500. With this budget, the Town at the time was proceeding with the understanding that growth in the Trust would be available for expenditure, totaling several million dollars. The net position of the fund at the end of FY2024 was approximately $6.075 million. Finance Director Maryanne Crawford and I wanted to confirm there is sufficient funding available in the trust to cover the budget to avoid any risk of drawing from the corpus of the Trust (the principal sum of the trust), which is not permitted. Unfortunately, the Town’s wealth manager has made it clear that the funding available to the Trustees is the income from interest and dividends each year, and the cash balance on hand. Based on the FY2024 Audit, the total income from dividends that fiscal year totaled $179,740. Going forward, we propose using the most recent audit numbers (in this case, FY2024), and also take into consideration the cash balance to establish the annual Spencer Trust budget.

The recommended revised FY2026 budget (see page 2 of this memo) totals $249,000. The agency support total, $107,000, is proposed to remain the same. The proposed revised budget for the remaining items – home repair, emergent fund, administrator consulting fees, fund management fees, and super senior grants – totals $142,000. This includes reducing the home repair budget to $35,000, the administrator budget to $15,000, and halving the super senior grant program ($60,000). The super senior grants would be capped at 80 total, at $750 each. We approved 83 grants last fiscal year, totaling $90,692.

Also provided are “Projected Budgets” to provide budget scenarios that are sustainable given projected dividends and interest income. The revised budget would reduce the funding reserved for the First-Time Homebuyer Assistance Program to $150,000, but the Projected Budgets include an additional $30,000 each year to rebuild that balance.

Motion: To approve the FY2026 Spencer Trust Budget as amended.

ST AGENDA ITEM #5: Public Comment

ST AGENDA ITEM #6: Adjourn